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Record of Proceedings

Southaven City Board Meeting - September 1, 2026: Budget, Data Centers, and Planning Approvals

Mayor and Board of Aldermen — Tuesday, September 1, 2026
BodySouthaven, Mississippi
SessionMayor and Board of Aldermen
DateTuesday, September 1, 2026
StatusFILED
Video Record
0:00 / 49:12

Original source
Transcript — VerbatimClick a timed line to jump · ⧉ to share it
3:50

Please stay with us and be led in prayer by Otterman Gallagher.

3:53

Please remain standing after that for the Pledge of Allegiance led by Honorable Lars George Payne.

4:07

We thank you for your son Jesus Christ who died for us, Lord.

4:11

So that we can uh be with you in heaven one day if we choose to accept you, Lord.

4:16

Lord, I want to pray uh for our children as we start the new school year, Lord, that you would just be with them and uh have a constant heads of protection around the Lord.

4:26

And Lord, for what's uh going on in the Middle East, Lord, I pray for peace.

4:30

Uh Lord, that the two sides can come together, Lord.

4:33

Uh peace and pledge to the United States of America.

5:00

First on the agenda this evening is the approval of minutes for the August 18, 2026 meeting.

5:05

Second.

5:06

We have a motion moderator, second Jenkins.

5:09

Is there any discussion?

5:13

Hearing none.

5:14

Roll call, please.

5:15

Honorman.

5:16

Yes.

5:17

Alderman Jenkins.

5:18

Yes.

5:18

Alderman Hughes.

5:19

Yes.

5:19

Alderman Gerone.

5:20

Yes.

5:20

Alderman Gallagher.

5:21

Yes.

5:21

Artman Wheeler.

5:22

Yes.

5:22

Army Morhead.

5:23

Yes.

5:24

That motion carries.

5:25

Next on the agendas of the presentation for our proposed FI27 budget and tax millage.

5:32

And then we'll also have a uh open up a public hearing.

5:35

But for now, Caleb, would you come forward to start us off, please, sir?

5:38

Caleb Flowers, the director of finance for the city.

5:42

Good evening, Mayor and Board.

5:45

So tonight we're gonna have a public hearing to go over the proposed 27 budget.

5:52

A few weeks ago we did this in pretty good detail at the budget workshop.

5:58

There's no substantial changes to that.

6:00

What we went over a couple of weeks ago tonight's purpose is just to put the summary in in front of the public.

6:07

So I'll be brief with this, and the full documents are available for anyone that wants to review those.

6:12

So it is a balanced budget proposal tonight.

6:16

It's made up of our department requests and our FY26 projections and revenue.

6:23

So our total general fund budget in 26 was 83.3 million.

6:28

FY27 is showing 87.9 million, so an increase of about 4.6 million in our general fund for the next year.

6:45

Those budgets are reflected there.

6:47

They're outside of the general fund, but they're there so you can see the full FY27 budget in total going up 4.7 million.

6:57

Our departmental budgets here in the general funds.

7:01

So we have finance and administration, an increase of 164,688.

7:11

Municipal court, this is the only one in the general fund that's dropping just a bit.

7:18

That's a net change from revenue and expenses.

7:22

IT departments going up 571,000.

7:26

The city clerk's office, slight increase of 27,000.

7:30

Facilities is an increase of 671,000.

7:34

Planning and development increase of 111,000.

7:38

Police department, an increase of 1.9 million.

7:42

We'll talk about some of these components that make these up as we go through this.

7:46

The fire department also with an increase of 963,000.

7:51

Public works, an increase of 1 million.

7:54

Parks and record and eighty thousand increase.

7:58

And then our general expense is also an increase of 939,000.

8:03

So some of the notable budget components, and again, this is your your second time to hear this, at least by now.

Discussion Breakdown — Share of Meeting
Engineering And Infrastructure████████████████████████████28%
Budget Equity Analysis████████████████16%
Economic Development██████████████14%
Procedural█████████████13%
Parks and Recreation████████████12%
Public Engagement█████5%
Water And Wastewater Management████4%
Technology and Innovation████4%
Public Safety███3%
Summary of Proceedings

Southaven City Board Meeting – September 1, 2026

The Southaven Mayor and Board of Aldermen held a regular meeting on September 1, 2026, to present the proposed FY27 budget, approve multiple planning items, discuss data center noise concerns, and handle routine approvals. The meeting opened with a prayer and Pledge of Allegiance, followed by approval of minutes from August 18, 2026.

Consent Calendar

  • Approval of Minutes from August 18, 2026: Passed unanimously (7-0).
  • Personnel Docket: Approved unanimously.
  • Utilities Billing Leak Adjustment Docket: Approved unanimously.
  • Claims Docket in the amount of $2,371,060.43: Approved unanimously.

Public Comments & Testimony

  • Public Hearing on FY27 Budget: No members of the public spoke. The hearing was opened and closed with no comments.
  • Citizen Agenda Ordinance Discussion: No public testimony was taken; the item was deferred for further review.

Discussion Items

  • FY27 Budget Presentation: Caleb Flowers, Director of Finance, presented the proposed balanced budget. Total general fund budget increases from $83.3 million (FY26) to $87.9 million (FY27). Key components: 6% pay raises for police and fire, new ambulance for fire ($360,000), street resurfacing increase from $7 million to $7.5 million, parks concessions software upgrade ($150,000), facility renovation projects ($750,000 total), and no millage rate change. Sales tax revenue projected to increase from $21.5M to $22.3M. The board will formally adopt the budget at a special meeting on September 8, 2026.
  • Engineering Work Authorization – Police/Fire Training Facility: Authorized Civil Link to begin engineering for drainage and road access. Passed unanimously (7-0).
  • Renewal of General Engineering Contract with Civil Link: Two-year renewal on same terms. Passed unanimously (7-0).
  • Governmental Transfer Resolution – Van to Town of Walls: Authorized transfer of a surplus SWAT van to the Town of Walls. Passed unanimously (7-0).
  • Final Change Order and Closeout – Whitworth Water Plant: Approved a deduct change order of $14,434.67 and signed closeout documents for MDEQ. Passed unanimously (7-0).
  • Resolution for Filing Assessments (Liens): Authorized liens on properties cut in accordance with state code. Passed unanimously (7-0).
  • Resolution to Clean Private Property: Approved unanimously (7-0).
  • Ordinance Amendment – Official Citizen Agenda: The board discussed codifying existing practices (3-minute limit, 15-minute total, document submission by noon Friday, decorum rules). Alderman Jerome requested time to send recommendations, so the item was deferred to the next meeting for a vote.
  • Mayor's Report – Data Centers and Noise Issues: Mayor discussed ongoing noise concerns from temporary turbines at the SpaceX AI data center. He stated 11 turbines had been removed, acoustic engineers were on site, and the company was working on mitigation. He emphasized the project’s national security implications and the need for accurate public information. He also highlighted the largest soccer tournament in city history (123 teams) and the completed Cherry Valley Park renovation (new fencing, security cameras, lighting, trails, parking, and painting).
  • Planning Agenda:
    1. MZX Tech Subdivision Approval: One-lot heavy industrial lot (combined parcels). Unanimously approved (7-0).
    2. MZX Tech Data Storage Facility – Design Review: 660,000 sq ft metal building with black decorative fencing and landscaping. Alderman Hoot voted no due to unfulfilled promises on noise mitigation from previous projects. Approved 6-1.
    3. Three-Tenant Retail Building – Goodman Road: Design review with brick and copper accents. Approved unanimously (7-0).
    4. One-Story Restaurant – DeSoto District Drive: 5,600 sq ft building matching adjacent structures. Approved unanimously (7-0).

Key Outcomes

  • FY27 Budget Adoption: Scheduled for a special meeting on September 8, 2026.
  • Engineering Contracts and Work Authorizations: All passed unanimously.
  • Data Center Noise Mitigation: Mayor confirmed ongoing efforts; board will continue to monitor.
  • Citizen Agenda Ordinance: Deferred to next meeting for revisions.
  • Planning Approvals: All four items approved, with one dissenting vote on the data storage facility design.
  • Executive Session: Motion passed to enter executive session for potential litigation, economic development, and interdepartmental personnel matters (no action taken publicly).

Meeting Transcript

Please stay with us and be led in prayer by Otterman Gallagher. Please remain standing after that for the Pledge of Allegiance led by Honorable Lars George Payne. We thank you for your son Jesus Christ who died for us, Lord. So that we can uh be with you in heaven one day if we choose to accept you, Lord. Lord, I want to pray uh for our children as we start the new school year, Lord, that you would just be with them and uh have a constant heads of protection around the Lord. And Lord, for what's uh going on in the Middle East, Lord, I pray for peace. Uh Lord, that the two sides can come together, Lord. Uh peace and pledge to the United States of America. First on the agenda this evening is the approval of minutes for the August 18, 2026 meeting. Second. We have a motion moderator, second Jenkins. Is there any discussion? Hearing none. Roll call, please. Honorman. Yes. Alderman Jenkins. Yes. Alderman Hughes. Yes. Alderman Gerone. Yes. Alderman Gallagher. Yes. Artman Wheeler. Yes. Army Morhead. Yes. That motion carries. Next on the agendas of the presentation for our proposed FI27 budget and tax millage. And then we'll also have a uh open up a public hearing. But for now, Caleb, would you come forward to start us off, please, sir? Caleb Flowers, the director of finance for the city. Good evening, Mayor and Board. So tonight we're gonna have a public hearing to go over the proposed 27 budget. A few weeks ago we did this in pretty good detail at the budget workshop. There's no substantial changes to that. What we went over a couple of weeks ago tonight's purpose is just to put the summary in in front of the public. So I'll be brief with this, and the full documents are available for anyone that wants to review those. So it is a balanced budget proposal tonight. It's made up of our department requests and our FY26 projections and revenue. So our total general fund budget in 26 was 83.3 million. FY27 is showing 87.9 million, so an increase of about 4.6 million in our general fund for the next year. Those budgets are reflected there. They're outside of the general fund, but they're there so you can see the full FY27 budget in total going up 4.7 million. Our departmental budgets here in the general funds. So we have finance and administration, an increase of 164,688. Municipal court, this is the only one in the general fund that's dropping just a bit. That's a net change from revenue and expenses. IT departments going up 571,000.

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